Sunday, August 3, 2008

The following is the President Gloria Macapagal Arroyo's State of the Nation Address for the year 2008.

STATE OF THE NATION ADDRESS OF PRESIDENT GLORIA MACAPAGAL-ARROYO DURING THE 2ND REGULAR SESSION OF THE 14TH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES, 28 July 2008

Thank you, Speaker Nograles. Senate President Villar. Senators and Representatives. Vice President de Castro, President Ramos, Chief Justice Puno, members of the diplomatic corps, ladies and gentlemen:

I address you today at a crucial moment in world history.Just a few months ago, we ended 2007 with the strongest economic growth in a generation. Inflation was low, the peso strong and a million new jobs were created. We were all looking to a better, brighter future.

Biglang-bigla, nabaligtad ang ekonomiya ng mundo. Ang pagtalon ng presyo ng langis at pagkain ay nagbunsod ng pandaigdigan krisis, the worst since the Great Depression and the end of World War II. Some blame speculators moving billions of dollars from subprime mortgages to commodities like fuel and food. Others point of the very real surge in demand as millions of Chinese and Indians move up to the middle class.

Whatever the reasons, we are on a roller coaster ride of oil price hikes, high food prices and looming economic recession in the US and other markets. Uncertainty has moved like a terrible tsunami around the globe, wiping away gains, erasing progress.

This is a complex time that defies simple and easy solutions. For starters, it is hard to identify villains, unlike in the 1997 financial crisis. Everyone seems to be a victim, rich countries and poor, though certainly some can take more punishment than others.

To address these global challenges, we must go on building and buttressing bridges to allies around the world: to bring in the rice to feed our people, investments to create jobs; and to keep the peace and maintain stability in our country and the rest of the world. Yet even as we reach out to those who need, and who may need us, we strive for greater self-reliance.

Because tough choices were made, the global crisis did not catch us helpless and unprepared. Through foresight, grit and political will, we built a shield around our country that has slowed down and somewhat softened the worst effects of the global crisis. We have the money to care for our people and pay for food when there are shortages; for fuel despite price spikes.

Neither we nor anyone else in the world expected this day to come so soon but we prepared for it. For the guts not to flinch in the face of tough choices, I thank God. For the wisdom to recognize how needed you are, I thank, you Congress. For footing the bill, I thank the taxpayers.The result has been, on the one hand, ito ang nakasalba sa bayan; and, on the other, more unpopularity for myself in the opinion polls. Yet, even unfriendly polls show self-rated poverty down to its 20-year low in 2007.

My responsibility as President is to take care to solve the problems we are facing now and to provide a vision and direction for how our nation should advance in the future. Many in this great hall live privileged lives and exert great influence in public affairs. I am accessible to you, but I spend time every day with the underprivileged and under represented who cannot get a grip on their lives in the daily, all-consuming struggle to make ends meet.

Nag-aalala ako para sa 41-year old na padre de pamilya na di araw-araw ang trabaho, at nag-aabala sa asawa at tatlong anak, at dapat bigyan ng higit pang pagkakakitaan at dangal. I care for our teachers who gave the greatest gift we ever received - a good education - still trying to pass on the same gift to succeeding generations. I care for our OFWs, famed for their skill, integrity and untiring labor, who send home their pay as the only way to touch loved ones so far away. Nagpupugay ako ngayon sa kanilang mga karaniwang Pilipino.

My critics say this is fiction, along with other facts and figures I cite today. I call it heroism though they don't need our praise. Each is already a hero to those who matter most, their families.

I said this is a global crisis where everyone is a victim. But only few can afford to avoid, or pay to delay, the worst effects. Many more have nothing to protect them from the immediate blunt force trauma of the global crisis. Tulad ninyo, nag-aalala ako para sa kanila. Ito ang mga taong bayan na dapat samahan natin. Not only because of their sacrifices for our country but because they are our countrymen.

How do we solve these many complex challenges?

Sa kanilang kalagayan, the answer must be special care and attention in this great hour of need.First, we must have a targeted strategy with set of precise prescriptions to ease the price challenges we are facing.

Second, food self-sufficiency; less energy dependence; greater self-reliance in our attitude as a people and in our posture as a nation.

Third, short-term relief cannot be at the expense of long term reforms. These reforms will benefit not just the next generation of Filipinos, but the next President as well.

We have come too far and made too many sacrifices to turn back now on fiscal reforms. Leadership is not about doing the first easy thing that comes to mind; it is about doing what is necessary, however hard.

The government has persevered, without flip-flops, in its much-criticized but irreplaceable policies, including oil and power VAT and oil deregulation.

We released P1 billion for the victims of typhoon Frank. We support a supplemental Western Visayas calamity budget from VAT proceeds, as a tribute to the likes of Rodney Berdin, age 13, of Barangay Rombang, Belison, Antique, who saved his mother, brother and sister from the raging waters of Sibalom River.

Dahil sa subsidy, NFA rice is among the region's cheapest. While we can take some comfort that our situation is better than many other nations, there is no substitute for solving the problem of rice and fuel here at home. In doing so, let us be honest and clear eyed - there has been a fundamental shift in global economics. The price of food and fuel will likely remain high. Nothing will be easy; the government cannot solve these problems over night. But, we can work to ease the near-term pain while investing in long-term solutions.

Since 2001, new irrigation systems for 146,000 hectares, including Malmar in Maguindanao and North Cotabato, Lower Agusan, Casecnan and Aulo in Nueva Ecija, Abulog-Apayao in Cagayan and Apayao, Addalam in Quirino and Isabela, among others, and the restoration of old systems on another 980,000 hectares have increased our nation's irrigated land to a historic 1.5 million hectares.

The Land Bank has quadrupled loans for farmers and fisherfolk. That is fact not fiction. Check it. For more effective credit utilization, I instructed DA to revitalize farmers cooperatives. We are providing seeds at subsidized prices to help our farmers.

Incremental Malampaya national revenues of P4 billion will go to our rice self-sufficiency program. Rice production since 2000 increased an average of 4.07% a year, twice the population growth rate. By promoting natural planning and female education, we have curbed population growth to 2.04% during our administration, down from the 2.36 in the 1990's, when artificial birth control was pushed. Our campaign spreads awareness of responsible parenthood regarding birth spacing. Long years of pushing contraceptives made it synonymous to family planning. Therefore informed choice should mean letting more couples, who are mostly Catholics, know about natural family planning.

Nature did not gift us with a mighty Mekong like Thailand and Vietnam, with their vast and naturally fertile plains. Nature instead put our islands ahead of our neighbours in the path of typhoons from the Pacific. So, we import 10% of the rice we consume.

To meet the challenge of today, we will feed our people now, not later, and help them get through these hard times. To meet the challenges of tomorrow, we must become more self-reliant, self-sufficient and independent, relying on ourselves more than on the world.

Now we come to the future of agrarian reform.

There are those who say it is a failure, that our rice importations prove it. There are those who say it is a success-if only because anything is better than nothing. Indeed, people are happier owning the land they work, no matter what the difficulties.

Agrarian reform should not merely subdivide misery, it must raise living standards. Ownership raises the farmer from his but productivity will keep him on his feet.

Sinimula ng aking ama ang land reform noong 1963. Upang mabuo ito, the extension of CARP with reforms is top priority. I will continue to do all I can for the rural as well as urban poor. Ayaw natin na paglaya ng tenant sa landlord, mapapasa-ilalim naman sa usurero. Former tenants must be empowered to become agribusinessmen by allowing their land to be used as collateral.

Dapat mapalaya ng reporma sa lupa ang magsasaka sa pagiging alipin sa iba. Dapat bigyan ang magsasaka ng dangal bilang taong malaya at di hawak ninuman. We must curb the recklessness that gives land without the means to make it productive and bites off more than beneficiaries can chew.

At the same time, I want the rackets out of agrarian reform: the threats to take and therefore undervalue land, the conspiracies to overvalue it.

On our nautical highways. RORO boats carried 33 million metric tons of cargo and 31 million passengers in 2007. We have built 39 RORO ports during our administration, 12 more are slated to start within the next two years. In 2003, we inaugurated the Western Nautical Highway from Batangas through Mindoro, Panay and Negros to Mindanao. This year we launched the Central Nautical Highway from Bicol mainland, through Masbate, Cebu, Bohol and Camiguin to Mindanao mainland. These developments strengthen our competitiveness.

Leading multinational company Nestle cut transport costs and offset higher milk prices abroad. Salamat, RORO. Transport costs have become so reasonable for bakeries like Gardenia, a loaf of its bread in Iloilo is priced the same as in Laguna and Manila. Salamat muli sa RORO.

To the many LGUs who have stopped collecting fees from cargo vehicles, maraming, maraming salamat.

We are repaving airports that are useful for agriculture, like Zamboanga City Airport.Producing rice and moving it cheaper addresses the supply side of our rice needs. On the demand side, we are boosting the people's buying power.

In training, 7.74 million took technical and vocational courses over the last seven years, double the number in the previous 14 years. In 2007 alone, 1.7 million graduated. Among them are Jessica Barlomento now in Hanjin as supply officer, Shenve Catana, Marie Grace Comendador, and Marlyn Tusi, lady welders, congratulations.

In microfinance, loans have reached P102 billion or 30 times more than the P3 billion we started with in 2001, with a 98% repayment record, congratulations! Major lenders include the Land Bank with P69 billion, the Peoples' Credit and Finance Corporation P8 billion, the National Livelihood Support Fund P3 billion, DBP P1 billion and the DSWD's SEA-K P800 million. For partnering with us to unleash the entrepreneurial spirit, thank you, Go Negosyo and Joey Concepcion.

Upland development benefits farmers through agro-forestry initiatives. Rubber is especially strong in Zamboanga Sibugay and North Cotabato. Victoria Mindoro, 56 years old, used to earn P5,000 a month as farmer and factory worker. Now she owns 10 hectares in the Goodyear Agrarian Reform Community in Kabasalan, Zamboanga Sibugay, she earns P10,000 a week. With one hectare, Pedro and Concordia Faviolas of Makilala, North Cotabato, they sent their six children to college, bought two more hectares, and earn P15,000 a month. Congratulations!Jatropha estates are starting in 900 hectares in and around Tamlang Valley in Negros Oriental; 200 in CamSur; 300 in GenSan, 500 in Fort Magsaysay near the Cordero Dam and 700 in Samar, among others.

In our 2006 SONA, our food baskets were identified as North Luzon and Mindanao.

The sad irony of Mindanao as food basket is that it has some of the highest hunger in our nation. It has large fields of high productivity, yet also six of our ten poorest provinces. The prime reason is the endless Mindanao conflict. A comprehensive peace has eluded us for half a century. But last night, differences on the tough issue of ancestral domain were resolved. Yes, there are political dynamics among the people of Mindanao. Let us sort them out with the utmost sobriety, patience and restraint. I ask Congress to act on the legislative and political reforms that will lead to a just and lasting peace during our term of office.

The demands of decency and compassion urge dialogue. Better talk than fight, if nothing of sovereign value is anyway lost. Dialogue has achieved more than confrontation in many parts of the world. This was the message of the recent World Conference in Madrid organized by the King of Saudi Arabia, and the universal message of the Pope in Sydney.

The World Bank says that in Brazil, the income of the poorest 10% has grown 9% per year versus the 3% for the higher income levels due in large part to their family stipend program linking welfare checks to school attendance. We have introduced a similar program, Pantawid Pamilya.

Employers have funded the two increases in SSS benefits since 2005. Thank you, employers for paying the premiums.

GSIS pensions have been indexed to inflation and have increased every year since 2001. Its salary loan availments have increased from two months equivalent to 10 months, the highest of any system public or private-while repayments have been stretched out.

Pag-Ibig housing loans increased from P3.82 billion in 2001 to P22.6 billion in 2007. This year it experienced an 84% increase in the first four months alone. Super heating na. Dapat dagdagan ng GSIS at buksan muli ng SSS ang pautang sa pabahay. I ask Congress to pass a bill allowing SSS to do housing loans beyond the present 10% limitation.

Bukod sa libreng edukasyon sa elementarya at high school, nadoble ang pondo para sa mga college scholarships, while private high school scholarship funds from the government have quadrupled.

I have started reforming and clustering the programs of the DepEd, CHED and TESDA.As with fiscal and food challenges, the global energy crunch demands better and more focused resource mobilization, conservation and management.

Government agencies are reducing their energy and fuel bills by 10%, emulating Texas Instruments and Philippine Stock Exchange who did it last year. Congratulations, Justice Vitug and Francis Lim.

To reduce power system losses, we count on government regulators and also on EPIRA amendments.

We are successful in increasing energy self-sufficiency-56%, the highest in our history. We promote natural gas and biofuel; geothermal fields, among the world's largest; windmills like those in Ilocos and Batanes; and the solar cells lighting many communities in Mindanao. The new Galoc oil field can produce 17,000-22,000 barrels per day, 1/12 of our crude consumption.

Our costly commodity imports like oil and rice should be offset by hard commodities exports like primary products, and soft ones like tourism and cyberservices, at which only India beats us.Our P 350 million training partnership with the private sector should qualify 60,000 for call centers, medical transcription, animation and software development, which have a projected demand of one million workers generating $13 billion by 2010.

International finance agrees with our progress. Credit rating agencies have kept their positive or stable outlook on the country. Our world competitiveness ranking rose five notches. Congratulations to us. We are sticking to, and widening, the fiscal reforms that have earned us their respect.

To our investors, thank you for your valuable role in our development. I invite you to invest not only in factories and services, but in profitable infrastructure, following the formula for the Tarlac-Pangasinan-La Union Expressway.

I ask business and civil society to continue to work for a socially equitable, economically viable balance of interests. Mining companies should ensure that host communities benefit substantively from their investments, and with no environmental damage from operations.

Our administration enacted the Solid Waste Management Act, Wildlife Act, Protection of Plant Varieties, Clean Water Act, Biofuels Act and various laws declaring protected areas.For reforestation, for next year we have budgeted P2 billion. Not only do forests enhance the beauty of the land, they mitigate climate change, a key factor in increasing the frequency and intensity of typhoons and costing the country 0.5% of the GDP.

We have set up over 100 marine and fish sanctuaries since 2001. In the whaleshark sanctuary of Donsol, Sorsogon, Alan Amanse, 40-year-old college undergraduate and father of two, was earning P100 a day from fishing and driving a tricycle. Now as whaleshark-watching officer, he is earns P1,000 a day, ten times his former income.

For clean water, so important to health, there is P500 million this year and P1.5 billion for next year.

From just one sanitary landfill in 2001, we now have 21, with another 18 in the works.We launched the Zero Basura Olympics to clear our communities of trash. Rather than more money, all that is needed is for each citizen to keep home and workplace clean, and for garbage officials to stop squabbling.

Our investments also include essential ways to strengthen our institutions of governance in order to fight the decades-old scourge of corruption. I will continue to fight this battle every single day. While others are happy with headlines through accusation without evidence and privilege speeches without accountability, we have allocated more than P3 billion - the largest anti-graft fund in our history - for real evidence gathering and vigorous prosecution.

From its dismal past record, the Ombudsman's conviction rate has increased 500%. Lifestyle checks, never seriously implemented before our time, have led to the dismissal and/or criminal prosecution of dozens of corrupt officials.

I recently met with the Millennium Challenge Corporation, a US agency that provides grants to countries based on governance. They have commended our gains, contributed P1 billion to our fight against graft, and declared us eligible for more grants. Thank you!

Last September, we created the Procurement Transparency Group in the DBM and linked it with business, academe, and the Church, to deter or catch anomalies in government contracts.On my instruction, the BIR and Customs established similar government-civil society tie-ups for information gathering and tax evasion and smuggling monitoring.

More advanced corruption practices require a commensurate advances in legislative responses. Colleagues in Congress, we need a more stringent Anti-Graft Act.

I call on all our government workers at the national and local levels to be more responsive and accountable to the people. Panahon ito ng pagsubok. Kung saan kayang tumulong at dapat tumulong ang pamahalaan, we must be there with a helping hand. Where government can contribute nothing useful, stay away. Let's be more helpful, more courteous, more quick.Kaakibat ng ating mga adhikain ang tuloy na pagkalinga sa kapakanan ng bawat Pilipino. Iisa ang ating pangarap - maunlad at mapayapang lipunan, kung saan ang magandang kinabukasan ay hindi pangarap lamang, bagkus natutupad.

We are three branches but one government. We have our disagreements; we each have hopes, and ambitions that drive and divide us, be they personal, ethnic, religious and cultural. But we are one nation with one fate.

As your President, I care too much about this nation to let anyone stand in the way of our people's wellbeing. Hindi ko papayagang humadlang ang sinuman sa pag-unlad at pagsagana ng taong bayan. I will let no one - and no one's political plans - threaten our nation's survival. Our country and our people have never failed to be there for us. We must be there for them now.

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Gone to the John

Gone to the John started in 2008. This is a brainchild of my then girlfriend and now wife. She who has always encouraged me to write.

The places I go to, the new things I learn and experience and this whole life becomes part of the world I know. I pee in each corner of all these new things to let you know that those are part of my territory now. Hence if you visit this site you've gone to the John as well.